Post conversion of dues into fairness, the Centre is anticipated to carry a 9.5 per cent stake within the firm, it stated in a regulatory submitting on Tuesday.
The conversion, nevertheless, can be topic to a mutual settlement on the phrases and circumstances, together with the governance of the corporate submit-conversion of the curiosity quantity into fairness shares, it added in the identical submitting.
The firm’s shares settled 5 per cent down on Thursday at Rs 261.9.
Tata Teleservices offers in broadband, telecommunications and cloud providers.
On the identical day — Tuesday, Vodafone Idea too authorized the conversion of its adjusted gross income (AGR) and spectrum liabilities into fairness, and stated that the Centre would maintain round 35.8 per cent stake within the firm.
Following the announcement, its shares declined almost 20 per cent on Tuesday, whereas subsequently they rebounded sharply on Wednesday because the telecom firm clarified that the Centre wouldn’t take part within the administration of the corporate in addition to not take over the operations.
Notably, on Thursday, the Vodafone Idea shares traded regular at Rs 12.8 per share.